Most services of this nature promise to take a customer’s financial status and help improve their credit score by paying off some debt and setting up payment plans with creditors. For this to work, the customer sets up a bank account that the credit repair service accesses to make the payments to the companies directly. The customer deposits an agreed upon amount into the account once a month. This amount covers the cost to pay off the bills and also includes a surcharge that the company receives for their services. That company then pays the creditors at the end or beginning of the month and the customer is free to take any extra earnings and spend it or invest it as they need. With soaring numbers of people heading towards foreclosures, bankruptcies, and other financial troubles, the need for these services is high. The problem is that there are some companies who take the money and then use it for themselves, never paying the creditors as agreed. This leaves customers in dire trouble, and it can be costly for them to get out of the trouble they are now in.
As a credit repair company, you will face extremely high fees for processing electronic check, credit, or debit card payments from your clients. Instead of starting fees of $50 to $400, you may find the fees for merchant processing run as high as $2,000 to start. Monthly fees are also high ranging as high as $100. This is why it can be important to make sure you have a decent account balance before starting out. Until your business is covering your expenses, you may be paying some expenses out of your own pocket.
In this business venture, you will spend your time discussing individual client’s financial situations with their debtors. You will often negotiate lower or zero percent interest rates in order to get their payments lowered, while working out a monthly payment amount that gets the person’s financial obligations paid off in a matter of years instead of dozens of years. As heating, electricity, mortgage, gasoline, and grocery bills rise while salaries remain steady or even shrink with lay-offs, it is important for people to have options that keep them from becoming homeless. This becomes your job, and you should have a financial background before entering into this business. Without any knowledge, you will find it hard to gain merchant processing services because you may seem as though you have the potential to become another fraudulent business owner.
Do not be surprised if it takes months to find credit card processing services for your new business venture. There are very few merchant processors who take on credit repair company accounts. We do! Click Here to Apply Now! You should hear a reponse from us within 1-2 business days. With the high demand and short supply, it isn’t easy to find reasonable rates or even services that cover your needs. As long as you are ready to do some searching and invest many hours proving you are genuine, you will eventually find a plan that benefits both you and your clientele.